Most British firms in China see hit from coronavirus: survey

[BEIJING] Most British firms operating in China expect revenues to fall this year because of the coronavirus that has shaken the world's second largest economy, according to a poll by the British Chambers of Commerce in China.

Nearly 70 per cent of the 135 companies surveyed expect the virus to pull down their China revenues in 2020, with half expecting their revenue to drop by more than 10 per cent. A quarter of businesses expected a decrease of more than 20 per cent.

In China, the epidemic has killed more than 2,600, infected more than 77,000, and led to widespread transport and business restrictions.

About half of the surveyed companies said they have ties to Hubei province, at the centre of the epidemic, through for example a branch location, a supply chain link, or a customer base.

Hubei, a province of some 60 million people where most of the deaths have occurred, remains in virtual lockdown.

Just over a quarter of British manufacturers said they temporarily closed factories as a result of the outbreak.

More than 60 per cent of companies have seen reduced demand for their products or services, and around one third are postponing investment decisions, according to the survey.

REUTERS